Get the Best Debt Consolidation Plan Interest Rates for 2019 Now!

Updated 22 July 2019

Get the latest Debt Consolidation Plan interest rates for Singapore on MoneySmart.sg. See how Debt Consolidation Plan compares against other banks and apply instantly online.

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Loan Details

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OCBC Debt Consolidation Plan

OCBC Debt Consolidation Plan

6%

Interest Rate
(EIR 11.08% p.a.)

$35,400

Total Amount Payable

Nil

Processing Fee

$983

Per Month

Key Features
  • No processing fees at all
  • Choose loan tenure from 3-8 years
  • Complimentary OCBC Platinum credit card with a limit of 1X your monthly income and no annual fee charged
  • Make repayments easily via Online or Mobile Banking funds transfer, cheque deposit or cash deposit machine
Loan Details
Citizenship StatusSingaporean / PR
Minimum Annual Income$30,000
Maximum Loan Tenure8 years
Processing FeeNil
Repayment Summary
Principal Loan Amount$30,000
Interest Rate (p.a)6%
Loan Tenure3 years
Total Interest Payable$5,400
Total Amount Payable$35,400
Monthly Instalments$983
Citi Debt Consolidation Plan

Citi Debt Consolidation Plan

5.67%

Interest Rate
(EIR 10.50% p.a.)

$35,103

Total Amount Payable

Nil

Processing Fee

$975

Per Month

Key Features
  • No processing fees at all
  • Choose loan tenure from 3-7 years
  • Get a credit card with a limit of 1X your monthly income
  • Complimentary protection insurance coverage of up to S$160,000
Loan Details
Citizenship StatusSingaporean / PR
Minimum Annual Income$30,000
Maximum Loan Tenure7 years
Processing FeeNil
Repayment Summary
Principal Loan Amount$30,000
Interest Rate (p.a)5.67%
Loan Tenure3 years
Total Interest Payable$5,103
Total Amount Payable$35,103
Monthly Instalments$975
UOB Debt Consolidation Plan

UOB Debt Consolidation Plan

4.50%

Interest Rate
(EIR 8.41% p.a.)

$34,050

Total Amount Payable

0%

Processing Fee

$946

Per Month

  • Get S$200 Cash Rebate
Key Features
  • Enjoy fixed interest rate from as low as 4.5% p.a. (EIR: 8.22% p.a.); or
  • Go for greater flexibility and start on lower monthly repayment with the Tiered Interest rate offer at interest rates starting from 2.28% p.a. for the first year and 6.28% p.a. (EIR: 9.04% p.a.) for subsequent years of the tenure for a 6 year loan. Options for 7 or 8 year loans available.
  • Loan tenure of up to 8 years
  • No processing fee
Loan Details
Citizenship StatusSingapore
Minimum Annual Income$30,000
Maximum Loan Tenure8 years
Processing Fee0%
Repayment Summary
Principal Loan Amount$30,000
Interest Rate (p.a)4.50%
Loan Tenure3 years
Total Interest Payable$4,050
Total Amount Payable$34,050
Monthly Instalments$946
HSBC Debt Consolidation Plan

HSBC Debt Consolidation Plan

4%

Interest Rate
(EIR 7.50% p.a.)

$33,600

Total Amount Payable

$0

Processing Fee

$933

Per Month

Key Features
  • Enjoy promotional interest rates from 4% p.a.
  • Get processing fee waiver on your approved loans
  • Loan tenure of 1-10 years
Loan Details
Citizenship StatusSingaporean / PR
Minimum Annual Income$30,000
Maximum Loan Tenure10 years
Processing Fee$0
Repayment Summary
Principal Loan Amount$30,000
Interest Rate (p.a)4%
Loan Tenure3 years
Total Interest Payable$3,600
Total Amount Payable$33,600
Monthly Instalments$933
Standard Chartered Debt Consolidation Plan

Standard Chartered Debt Consolidation Plan

3.98%

Interest Rate
(EIR 7.70% p.a.)

$33,781

Total Amount Payable

S$199

Processing Fee

$933

Per Month

Key Features
  • Enjoy as low as 3.98% p.a. interest rates
  • Loan tenure of 3-10 years
  • Only one-time processing fee of S$199
Loan Details
Citizenship StatusSingaporean / PR
Minimum Annual Income$30,000
Maximum Loan Tenure10 years
Processing FeeS$199
Repayment Summary
Principal Loan Amount$30,000
Interest Rate (p.a)3.98%
Loan Tenure3 years
Total Interest Payable$3,582
Total Amount Payable$33,781
Monthly Instalments$933

MoneySmart lists Debt Consolidation Plan products that range between a minimum of 1 to a maximum of 10 years. The effective interest rate (EIR) of loan products on our site range from 7.70% p.a. to up to 11.08% p.a. The EIR of your loan will be dependent on the loan you apply for as well as your personal financial needs.

For example, you would need to pay S$311/month for a S$10,000 Debt Consolidation Plan with a loan tenure of 3 years at 3.98%pa Interest Rate (7.70% EIR). This would equate to a total payment of S$11,393 over 3 years. Please view each Debt Consolidation Plan product in detail for a full breakdown of the interest rate chargeable, minimum and maximum loan tenure as well as processing fees (if applicable).

Frequently Asked Questions

What is a debt consolidation plan?

A debt consolidation plan combines all your unsecured debts (such as multiple credit card bills) into one big loan with just one bank or financial institution. The bank clears your outstanding credit cards and accounts so that you can concentrate on repaying the DCP loan. Since DCP interest rates are typically much lower than that of credit cards, it is easier to repay.

Who can apply for a debt consolidation plan?

Only Singapore citizens and PRs are eligible for a debt consolidation plan. You need to earn between $20,000 and $120,000 per year, and your net personal assets (all your assets, minus any liabilities) should be valued at less than $2 million. On top of these, the bank offering the DCP loan may have further requirements while assessing your eligibility.

What kinds of debt can’t be consolidated under DCP?

Debt consolidation plans are for unsecured credit, so it excludes secured loans like car or housing loans. If you took out a loan for a specific purpose, such as a renovation, education, medical or business loan, it also cannot be consolidated under DCP. Your total debts need to be more than 12 times your monthly income in order for you to qualify for a DCP loan. (Although, if it’s less than that, you can still take out a personal loan to consolidate your debt.)

How much will you owe the bank under a debt consolidation plan?

On top of adding up your outstanding bills + interest, the bank will also add up to 5% on top of that for your first DCP loan. That’s because in the time it takes to pay off those credit card bills on your behalf, your old credit accounts might have accrued even more interest and/or fees. The 5% serves as a buffer for this purpose, and the excess will be refunded.

What else should you be aware of?

If your outstanding bills are very high, there’s a chance that your approved DCP loan amount is not enough to cover all your debts. In this case, you’ll have to settle the shortfall directly with the credit card issuer, otherwise, your debts will not be cleared. Also, it’s possible to refinance your debt consolidation plan if you find a better one out there. You need to notify your bank and obtain a settlement notice before you transfer.

What documents do you need to apply for a DCP?

When you apply for a debt consolidation plan, you should have the following documents ready: copy of NRIC (front and back), latest income documents, latest credit bureau report, latest credit card/unsecured credit loan statements, plus (for unsecured credit installment plans) a confirmation letter stating your unbilled balance.